Fair Work Ombudsman v Iwood Australia Pty Ltd (in Liquidation)

The Fair Work Ombudsman (FWO) brought proceedings against Iwood Australia Pty Ltd (in Liquidation) and its director, Mr. Ian Wood, alleging contraventions of the *Fair Work Act 2009* (Cth) (the Act). The dispute concerned alleged underpayments of wages and entitlements to employees of Iwood Australia, and the director's alleged personal liability for these contraventions. The matter was heard in the Federal Circuit and Family Court of Australia.

The primary legal issues before the Court were whether Iwood Australia had contravened specific provisions of the Act by failing to pay employees their minimum lawful entitlements, and whether Mr. Wood was personally liable for these contraventions under section 550 of the Act, as a person involved in the contraventions. The FWO also sought pecuniary penalties against both the company and Mr. Wood.

Judge O'Sullivan found that Iwood Australia had contravened the Act by failing to pay employees their minimum lawful entitlements, including base rates of pay, overtime, and leave entitlements. The Court determined that Mr. Wood was personally involved in these contraventions, having been aware of the company's financial difficulties and the consequent failure to meet its payroll obligations. The Court applied the principles of secondary liability under section 550 of the Act, which holds individuals involved in contraventions of the Act liable as if they had contravened the provision themselves. The Court considered evidence of Mr. Wood's knowledge and actions in relation to the underpayments.

The Court ordered Iwood Australia to pay pecuniary penalties and to rectify the underpayments. Mr. Wood was also ordered to pay pecuniary penalties for his involvement in the contraventions.